SOURCE: Q Lotus Holdings Inc.

May 02, 2012 08:30 ET

Q Lotus Holdings, Inc. Enters Into Agreement With Financial Advisor, Capital Business West, to Assist With Capital Raising Activities

CHICAGO, IL--(Marketwire - May 2, 2012) - Q Lotus Holdings, Inc. (OTCBB: QLTS) ("Q Lotus") has entered into an agreement with Capital Business West, LLC ("CBW") whereby CBW will act as financial advisor to Q Lotus regarding Q Lotus' capital raising activities, as stated in the recent 8-K filing which is located here: http://www.sec.gov/Archives/edgar/data/1391142/000114420412024083/v310581_8k.htm.

CBW specializes in debt placement and private placements for middle market companies throughout the United States and Canada. Stanton Marcus, Managing Director of CBW, will arrange for senior debt lines or other debt facilities requested by Q Lotus. Mr. Marcus has 30 years of experience in corporate finance, commercial finance, and the banking industry. He worked for the investment banking firms of Shearson Loeb Rhoades and Houlihan, Lokey, Howard & Zukin, Inc. specializing in project finance, mergers & acquisitions, ESOP transactions, debt and equity private placements and corporate restructurings. Mr. Marcus has also worked with GE Capital, Congress Financial, Bank of NY, Coast Business Credit and Marquette Business Credit.

Q Lotus has several long term growth opportunities in financial services where the Company can add value and take advantage of its management expertise. These investments are strategically categorized into the following three groups:

The primary use of proceeds will be put towards the Company's financial services activities which will run through Midwest Business Credit ("MBC"). "The investment opportunity with MBC offers attractive returns in a timely fashion, and will provide immediate earnings and cash flow for the company" stated Gary Rosenberg, CEO of Q Lotus. MBC is ready to facilitate its planned expansion given the high demand and strong market for asset-based commercial credit.

Additional medium term growth in cash flow and earnings will be facilitated through Urban R2 Development Company, the real estate affiliate of Q Lotus. Among other real estate activities, Urban R2 is in the process of developing a 22-story mixed-use apartment building in the Near West Loop of Chicago, dubbed Catalyst. Urban R2 has also been awarded the right to develop a downtown for the Village of Wheeling on 20 acres of Village owned land that is adjacent to the Metra Train Station, Park District Facilities, and Village Departments.

Over the longer term, substantial growth in cash flow and earnings may be realized through the Bureau of Land Management mining claims that Q Lotus owns in Arizona, Oregon, and Utah. Q Lotus is in the process of creating and negotiating a joint venture partnership to maximize the value of the claims and contribute to the long term cash flow and earnings potential.

Safe Harbor Statements
This release contains forward-looking statements that are not statements of historical fact and may involve a number of risks and uncertainties. These statements relate to analyses and other information that are based on forecasts of future results and estimates of amounts not yet determinable. These statements may also relate to our future prospects, developments and business strategies. We have used the words "anticipate," "believe," "could," "estimate," "expect," "intend," "may," "plan," "predict," "project" and similar terms and phrases, including references to assumptions, in this release to identify forward-looking statements. These forward-looking statements are made based on expectations and beliefs concerning future events affecting us and are subject to uncertainties and factors relating to our operations and business environment, all of which are difficult to predict and many of which are beyond our control, that could cause our actual results to differ materially from those matters expressed in or implied by these forward-looking statements. You should keep in mind that any forward-looking statement made by us in this release or elsewhere speak only as of the date on which we make it. New risks and uncertainties come up from time to time, and it is impossible for us to predict these events or how they may affect us. We have no duty to, and do not intend to, update or revise the forward-looking statements in this release after the date of this release, except as may be required by law. Readers are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties that may be disclosed from time to time in our SEC filings or otherwise.

Contact Information

  • Investor Relations Contact:
    Equiti-trend Advisors, LLC
    (800) 953-3350